Mortgage and Landlord Possession Statistics in England and Wales, July to September 2017 (Provisional)

Main points

Since July to September 2016, the number of mortgage possession claims and orders made in county courts has increased, and warrants and repossessions continue to fall. All landlord possession actions continue to decrease in line with the long-term trend.

Mortgage possession: claims and orders have increased for the third quarter. Mortgage possession claims and orders have risen again (compared to the same quarter last year), a continuation of the increase seen since October to December 2016, but figures remain at a similar level to the past two years.

Mortgage average time (from claim to possession action) has decreased Over the last two years, time from claim to repossession has remained variable between 107-141 weeks.

All stages of landlord possession actions have decreased Landlord possession claims, orders for possession, warrants of possession and repossessions by county court bailiffs have decreased, continuing the long-term downward trend seen since April to June 2014, albeit a slow down on the decrease seen in the initial stages.

Mortgage possession claims and repossession rates remain at low levels The City of London had the highest rate of mortgage possession claims at 59 per 100,000 household, but this corresponded to just three properties. The second highest rate was in Middlesbrough with 44 per 100,000 household. Mortgage repossession rates are highest in Burnley with 29 per 100,000 households.

Landlord possession claims and repossessions highest in London The highest rates of landlord possession actions are concentrated in London (9 of 10 highest claim rates and 16 of 20 highest repossession rates).

This publication provides mortgage and landlord possession statistics in July to September 2017, compared to the same quarter the previous year. A data visualisation tool accompanies this bulletin and can be accessed here. For technical detail, please refer to the accompanying supporting document.

For feedback related to the content of this publication, please contact us at CAJS@justice.gsi.gov.uk

1. Overview of Mortgage Possession

Claims and order possession actions have increased for the fourth quarter

Mortgage possession claims (4,757) and orders for possession (3,376), have both increased by 6% and 26% respectively (compared to the same quarter last year). However, while these figures are again an increase against the previous year, they remain broadly in line with the recent trend, seen since April to June 2015.

Despite decreases in warrants and repossessions against the previous year, the magnitude of the decreases are small, indicating that volumes may be stabilising.

Figure 1: Mortgage possession actions (actual and seasonally adjusted) in the county courts of England and Wales, July 2012 to September 2017 (Source: Table 10a)

Mortgage possession claims fell from a peak of 26,419 in April to June 2009 before stabilising in April to June 2015 (4,849). In July to September 2017, claims for possession increased by 6% to 4,757 claims (compared to the same quarter in 2016).

Orders for possession followed a similar trend to mortgage claims, falling from a peak of 23,850 orders in July to September 2009, but continuing to decline to 2,685 orders at July to September 2016, the lowest recorded level of the series. Between this point and the most recent quarter, orders have increased by 26% to 3,376. However, this remains broadly in line with the volume seen at April to June 2015, of 3,426. Orders overall have increased, with suspended orders up 33% and outright orders up up 22%. The South East had the greatest rise of all regions against the previous year.

The fall in the number of mortgage possession actions since 2008 coincides with lower interest rates, a proactive approach from lenders in managing consumers in financial difficulties and other interventions, such as the Mortgage Rescue Scheme and the introduction of the Mortgage Pre-Action Protocol. Additionally, the downward trend seen in recent years mirrors that seen in the proportion of owner-occupiers. 2. Mortgage Possession Action Timeliness

Average time between claims being issued to repossession has decreased.

The average time for orders to be issued has continued to slowly fall. For issues of warrants, the time taken has increased slightly.

Over the last two years, time from claim to repossession has remained variable between 107-141 weeks. Compared to July to September 2016, this has decreased to 111.2 weeks from 140.7 weeks.

Since the same quarter the previous year, fewer claims progressed to orders, warrants and repossessions both within 6 months of the claim date and over a 5 year period.

Figure 2: Timeliness of mortgage possession actions, July 2012 to September 2017 (Source: Table 3a)

Number of weeks taken from initial Mortgage claim to...

| Orders | Warrants | Repossessions | |--------|----------|---------------| | The average no. of weeks between claims and court orders decreased slightly | The average no. of weeks between claims and warrants has increased slightly | The average no. of weeks between claims and repossessions has decreased | | Claims to orders have decreased from 15.2 (Jul-Sep 2016) to 13.9 weeks (Jul-Sep 2017) | Claims to warrants has slightly increased from 83.2 (Jul-Sep 2016) to 83.8 weeks (Jul-Sep 2017) | Claims to repossessions have decreased from 140.7 (Jul-Sep 2016) to 111.2 (Jul-Sep 2017) |

The above charts distinguish the timeliness of possession claims at the different stages of a case. It is worth noting that timeliness can be affected by various factors. For example, the final two charts take account of the amount of time between the court order being issued and the claimant, such as the mortgage lender, issuing a warrant of possession.

The long-term increases in the average time from claim to warrant and claim to repossession shown above, are due to a small number of claims dating from early 2004, where claimants have issued their warrants in the most recent quarter (possibly due to defendants recently breaking the terms of the mortgage agreements put in place at the start of the process). Over the last 5 years, 64% of claims received orders of repossession; 32% received warrants, and 17% ended in repossession (by county court bailiff), an overall decrease in the proportion of cases reaching each stage compared to the previous 5-year period.

**Overall fewer claims progressed to orders, warrants and repossession** both within 6 months of the claim date and over a 5 year period. 3. Overview of Landlord Possession

All stages of landlord possession actions have decreased

Landlord possession claims (34,172), orders for possession (25,266), warrants of possession (16,935) and repossessions by county court bailiffs (8,806) decreased by 1%, 3%, 9% and 10% respectively (compared to the same quarter last year; Jul-Sep 2016). This is in line with the downward trend seen since April to June 2014, albeit a slow down on the decrease for initial stages and possibly indicating a change in trend for claims from 2016 Q4.

Figure 4: Landlord possession actions (actual and seasonally adjusted) in the county courts of England and Wales, July 2012 to September 2017 (Source: Table 10b)

Seasonally adjusted figures for possession claims and orders also show a fall in the scale of the decrease, possibly suggesting that volumes are plateauing.

The majority (62%) (21,179) of landlord possession claims were social landlord claims, 22% (7,621) were accelerated claims and 16% (5,372) were private landlord claims.

Whilst overall orders have fallen, suspended orders have increased 2% on the previous year. Since July to September 2016, there has been a decrease in suspended orders within the London and North West regions, but an increase or stabilisation in all other regions. The largest increase in suspended orders was seen in the South West. 4. Landlord Possession Timeliness

Time taken for Landlord possession claims to repossession has decreased

Timeliness for landlord possession actions has remained fairly stable across the last 5 years, with slight fluctuations in time from claim to warrant and repossession in the most recent quarters. However all are stable fluctuations around historic levels; 11 weeks (orders), 37 weeks (warrants) and 43 weeks (repossessions).

Figure 5: Timeliness of landlord possession actions, July 2012 to September 2017 (Source: Table 6a)

Number of weeks taken from initial landlord claim to …

| Orders | Warrants | Repossessions | |--------|----------|---------------| | The average no of weeks between claims and court orders stable, although with a slight increase | The average no of weeks between claims and warrants increased to around 38 weeks | The average no of weeks between claims and repossessions has decreased to 41 weeks |

Claims to orders have increased slightly from 11.3 weeks (Jul-Sep 2016) to 11.4 weeks (Jul-Sep 2017)

Claims to warrants have increased from 36.7 weeks (Jul-Sep 2016) to 37.8 (Jul-Sep 2017)

Claims to repossession have decreased from 42.6 weeks (Jul-Sep 2016) to 41.2 (Jul-Sep 2017)

Figure 6: Percentage (cumulative) of landlord claims that reach each stage (by number of quarters since claim was submitted) (Source: Table 6b)

Proportion of claims to reach each stage

| In initial 6 months (first two quarters) | 5 year period | |----------------------------------------|--------------| | Jul-Sep 2016 | Jul-Sep 2017 | Jul-Sep 2016 | Jul-Sep 2017 | | Orders | 67% | 68% | 74% | 75% | | Warrants | 23% | 24% | 40% | 40% | | Repossessions | 12% | 13% | 24% | 25% |

Over the last 5 years, 75% of claims progressed to orders of repossession; 40% to warrants, and a quarter ended in repossession.

The proportion of landlord possession claims reaching each possession stage increased slightly in July to September 2017 compared with the same period last year, in the initial 6 months from the date of claim. Fewer absolute cases are reaching each stage (reflecting the decrease in overall case volumes), however a larger proportion of these are reaching the subsequent stage. Over the 5 year period, there was an increase for orders and repossessions, but warrants remained stable. 5. Regional Possession Claims

The City of London had the highest rate of mortgage possession claims at 59 per 100,000 households, but this corresponded to just three properties due to City of London’s small population. The second highest rates was in Middlesbrough (44 per 100,000 households).

Landlord possession claim rates were highly concentrated in London, with 9 of the 10 highest rates. Barking and Dagenham had the highest rate (443 per 100,000 households).

Figure 7: Possession Claims per 100,000 households, July to September 2017 (Source: map.csv; see supporting guide)

Mortgage

The number of mortgage possession claims per 100,000 households by local authority ranged from 2 in Cambridge, to 59 in City of London.

Of the top ten highest rates, three (Oldham, Rossendale and Halton) are in the North West.

The Isles of Scilly, Ryedale, Rutland and Tewkesbury had no mortgage possession claims.

Landlord

Suffolk Coastal showed the lowest rate of landlord possession claims (18 per 100,000 households) whilst Barking and Dagenham showed the highest (443 per 100,000 households).

The Isles of Scilly had no landlord possession claims.

London boroughs account for 9 of the 10 local authorities with the highest rate of landlord claims.

Outside the London boroughs, Halton was ranked 8th out of the top 10 highest rates, with 319 per 100,000 households. 6. Regional Repossessions (by County Court Bailiffs)

**Mortgage** repossessions are highest in **Burnley** with 29 per 100,000 households.

**Landlord** repossessions are concentrated in **London (16 of the 20 highest rates)** and Slough, Bournemouth, Luton and Northampton.

Figure 8: Repossession Claims per 100,000 households, July to September 2017 (Source: map.csv; see supporting guide)

**Mortgage**

**Burnley** had the highest number of mortgage repossessions by county court bailiffs (29 per 100,000 households) in July to September 2017.

**No repossessions** by county court bailiffs were recorded during this period in **77 local authorities**.

**Landlord**

**London** local authorities account for **16 of the 20** boroughs with the **highest rate** of landlord repossessions, the highest being in **Newham**, at **180** per 100,000 households, followed by **Barking and Dagenham** and **Brent** at **150** and **149** per 100,000 households respectively.

There were five local authorities with no landlord repossessions by county court bailiffs in July to September 2017 (Isles of Scilly, Ryedale, Hart, City of London and Hambleton). Further information The statistics in the latest quarter are provisional and revisions may be made when the next edition of this bulletin is published and when the figures are reconciled at the end of the year. If revisions are needed in subsequent years, these will be annotated in the tables.

Accompanying files As well as this bulletin, the following products are published as part of this release:

- A supporting guide providing further information on how the data is collected and processed, including a guide to the csv files, as well as legislation relevant to mortgage possessions and background information.
- A set of overview tables, covering key sections of this bulletin.
- CSV files of the map data and the figures by local authority and county court. A data visualisation tool available at: public.tableau.com/profile/moj.analysis#/

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It is the Ministry of Justice’s responsibility to maintain compliance with the standards expected for National Statistics. If we become concerned about whether these statistics are still meeting the appropriate standards, we will discuss any concerns with the Authority promptly. National Statistics status can be removed at any point when the highest standards are not maintained, and reinstated when standards are restored.

Contact Queries about these statistics should be directed to the Justice Statistics Analytical Services, in the Ministry of Justice:

Bridgette Miles - email: CAJS@justice.gsi.gov.uk

Press enquiries should be directed to the Ministry of Justice press office:

Simon Barrett - email: simon.barrett@justice.gsi.gov.uk

And queries on the wider policy implications of these statistics should be directed to the Department for Communities and Local Government’s press office:

Philippa Silverman - email: Philippa.Silverman@communities.gsi.gov.uk

Next update: 8 February 2017

URL: www.gov.uk/government/statistics/mortgage-and-landlord-possession-statistics-july-to-september-2017

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